Vodafone Confirms Verizon’s Alltel Courtship (Update: Deal’s Done)

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Update: Wow, this thing moved fast. Both Verizon and Alltel are reporting that the the acquisition is now official, with the aggregate value of the transaction being $28.1 billion. Both companies stated that they would like to have the deal completed by the end of the year.

James Stewart and Grace KelllyUK-based telecom Vodafone, which has a 45% stake in Verizon, confirm yesterday’s rumors of the big V’s interest in Alltel, the fifth-largest American carrier. The magic number floating around for the Alltel bid is no less than $27 billion.

Vodafone confirms that Verizon Wireless is in advanced discussions regarding the potential acquisition of Alltel Corp. There is no assurance that a transaction will be forthcoming,” the company said in an announcement to the London Stock Exchange.

The acquisition would be the biggest telecom deal since AT&T bought BellSouth in 2006. Adding Alltel’s 13.2 million subscribers to Verizon’s 67.2 million would make them the largest US carrier, usurping AT&T’s 71.4 million customers. Maybe then they’ll get BlackBerrys faster.

What do you think, guys and gals? Is Alltel worth that much, or is it just a play to be number one?

(via Cellular-News)

  • SLVR6

    That’s a play to be king of the hill……

  • SLVR6

    That’s a play to be king of the hill……

  • DavidB

    I think we’ve all expected this for several years. It wouldn’t surprise ME if Sprint’s fortunes keep declining big V could be on the prowl again. Then of course ATT has no choice but to try to gobble up TMobile and the other smaller GSM carriers.

    Just like we’ve seen major consolidation in fixed-line phone (since the 7 baby bells starting buying each other), consolidation of the wireless providers is inevitable. XM and Sirius are merging. What’s next, cable TV? How long before Comcast or Cox or TWC makes a bid for one of the others?

  • DavidB

    I think we’ve all expected this for several years. It wouldn’t surprise ME if Sprint’s fortunes keep declining big V could be on the prowl again. Then of course ATT has no choice but to try to gobble up TMobile and the other smaller GSM carriers.

    Just like we’ve seen major consolidation in fixed-line phone (since the 7 baby bells starting buying each other), consolidation of the wireless providers is inevitable. XM and Sirius are merging. What’s next, cable TV? How long before Comcast or Cox or TWC makes a bid for one of the others?

  • DavidB
  • DavidB